FAQ Series: FCRA compliance

The Fair Credit Reporting Act (FCRA) is a United States Federal Law enacted under the US Federal Trade Commission that regulates the collection, dissemination, and use of consumer information, including consumer credit information.

NationSearch assists our clients in their compliance with Federal Law throughout the background check process. Our background screening system lets you easitly manage the "adverse action" process required by the Fair Credit Reporting Act (FCRA), which promotes accuracy and fairness with employment consumer reports. If you decide on an "adverse action" such as denying a job applicant, reassigning or terminating an employee based in whole or in part on a consumer report (i.e., background check), you must follow the procedures laid out by the FCRA, which allows the individual an opportunity to seek a reinvestigation of the background check results. Not being FCRA compliant is not only breaking Federal Law, but can bring a hefty lawsuit by an applicant. Compliance is simple and inexpensive when you partner with a screening firm such as NationSearch who is in compliance.